Telecommunications Infrastructure (Leasehold Property) Bill

Charlotte Nichols Excerpts

2nd reading & 2nd reading: House of Commons & Programme motion
Wednesday 22nd January 2020 Commons Chamber

[Chi Onwurah]

I welcome my hon. Friend. She makes an excellent point: an active Government can really make a difference in ensuring that all their citizens can benefit from broadband. It is a real pity that we do not have such an active Government in Westminster.

As I was saying, the Prime Minister first promised full-fibre connectivity to all households by 2025. Then the Conservative manifesto committed his Government to

“a massive programme of improvements for our roads”—

and—

“gigabit-capable broadband to every home and business across the UK by 2025.”

What is gigabit broadband? However, the Queen’s Speech dropped the 2025 reference altogether, saying only:

“New laws will accelerate the delivery of gigabit capable broadband.”—[Official Report, 19 December 2019; Vol. 669, c. 32.]

I am sure the Minister knows as well as I do that gigabit-capable broadband can be delivered through various forms of infrastructure, not only fibre.

Whichever promise the Government are thinking of keeping, they will not do it through this Bill. As the Minister said, it provides a bespoke process for telecoms network operators to gain access to multiple-dwelling buildings in order to deploy, upgrade or maintain fixed-line broadband connections in cases where a tenant has requested electronic communication services, but the landlord has repeatedly failed to respond to an operator’s request for access. Network builders say that they face significant challenges, and if they cannot identify or do not receive a response to requests for access from the building owner, they cannot proceed with network deployment. According to Openreach, 76% of MDUs miss out on initial efforts to deploy fibre because of challenges in gaining access.

The Bill takes into account the fact that landlords are not always responsive or eager to meet their tenants’ needs, but it is not a hammer blow. Its ambition is laudable, and we will not vote against it, but it will not achieve any of the multiple and contradictory aims that the Minister and the Prime Minister have talked about. It has a number of failings and needs to be significantly improved through scrutiny. First, it does not go far enough. The sector has welcomed the Bill, but not with any great enthusiasm. The trade body techUK says that the Bill

“does not go far enough,”

and that,

“from new builds to street works,”

many issues

“have not been tackled by the Government’s Bill.”

[Charlotte Nichols (Warrington North) (Lab)]

Does my hon. Friend agree that, given other well-known leasehold issues, such as rising ground rents and other charges levied by distant landlords, access should not result in extra service charges and that there might be a need to assess and reform the legal relationship between leaseholders and freeholders?

[Chi Onwurah]

I welcome my hon. Friend to the House and to this debate, and I thank her for that excellent contribution. I was coming to that point, but let me make it now and agree with her. The need for this Bill is a reflection of the broken leasehold system, which Labour has significant plans to reform and change, but which the Government apparently have no intention of doing anything about, despite the misery in which many leaseholders find themselves as a consequence of the actions of freeholders.

I do not expect the Minister to be able to address the leasehold issue—although I hope he will say something about it—but he can address the issue of full-fibre broadband. He must be aware that BT said in its response to the Bill that the Government need to go further. BT said that, with the right fiscal, regulatory and legislative enablers, it would be prepared to commit funding to Openreach to fit 15 million homes with fibre by 2025. That would account for 50% of the 30 million that need to be reached, but that raises two questions. First, where would the other 50% come from? I hope the Minister can share with us his plan—it would be good to see one. Secondly, without the enablers that BT refers to, how many homes does the Minister expect to be reached by BT? We need a plan from the Government before we can have any confidence in their vague promises.

We recognise, as I think the Minister acknowledged, that the internet is now an essential utility for modern life. However, the Government’s “Future Telecoms Infra- structure Review” talked of bringing telecoms operators’ powers into line with other utilities. Does this Bill do that? It is not clear. Electricity and gas operators are empowered under the Rights of Entry (Gas and Electricity Boards) Act 1954 to gain entry to a property at all reasonable times, should the landlord or occupier damage the maintenance of a connection. Where water companies are under an obligation to provide water to a property, they are entitled to enter any premises for the purposes of determining whether or how to exercise their powers, and the same powers are extended to sewerage providers.

However, this Bill gives no statutory right of access to telecoms companies and places no obligation on landlords to facilitate access. I am not saying the Bill should do that, but I am trying to understand how the Government are treating telecoms. It would be nice to have a sense that the Government understand the difference between telecoms and other utilities. Other utilities are permitted to force entry to ensure there is no threat to life or safety. Although I believe online harms are a real danger, I do not believe they are the same thing.

For other utilities, such as energy, there is competition only in the retail layer, not the infrastructure layer. I will come back to that point but, given the Government claim to be encouraging infrastructure competition, it will create complexities that need to be explored. From what I can see, although the Minister talks a lot about exploring things, those complexities have not been considered so far.

Given the confusion on what kind of utility telecoms are, it is not surprising that doubts remain on whether this bespoke process will actually work or have any impact at all. What constitutes a meaningful response from a landlord? Can they just acknowledge the request? There is a question on whether the tribunals will have the right resources and expertise. The Country Landowners Association has observed that there is an existing code of practice. Why is that not working? What assessment has or will be made of the effective impact of these processes and costs on businesses? I understand there has been no impact assessment, and I expect to hear when one will be made.

We have heard that the Bill is a hammer blow. The Government promise to accelerate broadband roll-out but, as we have also heard and as I am sure many Members are aware, mobile is an important part of that and the Bill does not mention it. Some 96% of urban areas can get 4G reception from all four operators, compared with only 62% of rural areas; 5% of the UK landmass gets no mobile coverage whatsoever. Rural mobile coverage is set to increase due to an industry project recently announced by Ofcom, and 5G has finally launched in the UK, so we expect to see network roll-out from the mobile operators.

Mobile UK, the industry body, has called on the Government to ensure that mobile and fixed-line broadband services receive equal focus and attention. Does the Minister have any plans to support mobile network roll-out, or is that to be left to the market?